Why New College Students Should Have an Estate Plan
When you think of estate planning, your mind might jump to wealthy individuals or older adults with significant assets. However, the reality is that estate planning is crucial for everyone, including new college students. As young adults venture into independence, it’s essential to consider the unexpected and prepare for the future, no matter how far off it may seem. Here’s why estate planning is a must for college students.
1. Healthcare Decisions
As a college student, you may still be covered under your parent’s health insurance, but once you turn 18, they no longer have the automatic legal right to make medical decisions on your behalf.
A healthcare directive allows you to designate someone you trust to make medical decisions for you if you cannot. It also lets you specify your wishes regarding life-sustaining treatment and other critical care choices. With this document, your family might avoid delays or legal hurdles in making decisions during an emergency.
2. Financial Power of Attorney
As a student, you might not have vast amounts of wealth, but you likely have bank accounts, a car, and other personal property. A financial power of attorney allows you to appoint someone you trust to manage your financial affairs if you’re incapacitated or unable to handle them yourself.
For instance, if you’re studying abroad or suddenly fall ill, having a financial power of attorney means your designated person can pay your bills, manage your bank accounts, and handle any other financial matters that arise. This simple step can prevent unnecessary stress and financial complications.
3. Digital Assets
In today’s digital age, most students have a significant online presence. From social media accounts to online banking, students’ digital lives are substantial. Estate planning allows you to specify what should happen to your digital assets in the event of your passing or incapacitation.
You can appoint someone to manage or close your accounts, ensuring that your digital legacy is handled according to your wishes. This includes everything from email and social media profiles to online subscriptions and cryptocurrency accounts.
4. Personal Wishes and Property Distribution
While it’s uncomfortable to think about, accidents happen, an estate plan in place ensures that your personal property is distributed according to your wishes. Whether it’s a car, a laptop, or a sentimental item, a will allows you to dictate who receives these assets.
Without a will, your property distribution will be left to state laws, which may not align with your preferences. Even if you don’t have much, it’s a good idea to have a will in place to make your wishes clear.
5. Eases the Burden on the Family
In the event of an unexpected tragedy, the last thing your family needs is additional stress. Having an estate plan in place eases the burden on your loved ones by clearly outlining your wishes. It can save them from the emotional and financial strain of making difficult decisions during an already challenging time.
By setting up an estate plan, you provide peace of mind for yourself and your family, knowing that everything is taken care of according to your desires.
Estate Planning Isn’t Just for the Wealthy or Elderly
Estate planning is a practical and necessary step for everyone, including new college students. It ensures that your healthcare and financial decisions are in trusted hands, your digital and physical assets are managed as you wish, and your family is spared unnecessary stress during difficult times.
If you or your college-bound child needs to set up an estate plan, don’t wait. It’s never too early to take control of your future and ensure that you’re prepared for whatever life may bring.
For more information or to get started on your estate plan, contact Cannon Legal Firm for a free consultation. Let us help you create a plan that fits your unique needs and provides peace of mind for you and your loved ones.